S02 - CSS Att. 1 Brand Name JustificationRedacted.pdf

Attachment M806-A

Control No. VA 24 00057532

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BRAND NAME JUSTIFICATION AND APPROVAL (J&A)

FOR OTHER THAN FULL AND OPEN COMPETITION

1. Agency/Contracting Activity: Service & Distribution Center/ Denver Logistics Center

2. Description of Action:

Nature: New Requirement Follow-on Requirement Mod to Existing Purchase Order/Contract Number

Pricing: Firm-Fixed Price Time & Materials Cost

Types of Funds: Supply Funds

Name of Proposed Contractor(s): Schaefer Systems International, Inc. (SSI) Street Address: 10021 Westlake Dr City, State, Zip: Charlotte, NC 28273-3787 Phone: 800-876-6000

3. Description of Services or Supplies:

The total estimated value of the proposed action is: $263,864.60 ($230,740.20 for brand name supplies)

This is a simplified action for the supply purchase of Schaefer Systems gravity flow shelving units to be delivered to the Service & Distribution Center in Hines, IL, and the Denver Logistics Center building 810 warehouse in Denver, CO. These commercial items will be furnished, with installation included at both locations:

For shipment and installation at the SDC as an add-on to existing shelving:

a) KDR Gravity Flow, Starter Unit, 3-Level, 79 x 71 x 76 - 1.00 ea

b) KDR GRAVITY FLOW ADD-ON 79H X 71W X 76D - 5.00 ea

c) KDR GRAVITY FLOW LEVEL 71 x 76 - 6.00 ea

For shipment and installation at the DLC 810 warehouse as a startup:

a) KDR Gravity Flow, Starter Unit, 3-Level, 79 x 71 x 76 - 9.00 ea

b) KDR GRAVITY FLOW ADD-ON 79H X 71W X 76D - 108.00 ea

The service installation portion is not sole source since there are many vendors who can provide installation services for these SSI supplies.

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4. Authority: The following authorities are for actions other than simplified acquisition.

FAR 6.302-1: Only one responsible source and no other supplies or services will satisfy agency requirements, 41 U.S.C. 3304(a)(1).

FAR 6.302-2: Unusual and compelling urgency, 41 U.S.C. 3304(a)(2).

FAR 6.302-3: Industrial mobilization, engineering, development, or research capability; or expert services, 41 U.S.C. 3304(a)(3).

FAR 6.302-4: International agreement, 41 U.S.C. 3304(a)(4).

FAR 6.302-5: Authorized or required by statute, 41 U.S.C. 3304(a)(5).

FAR 6.302-6: National security, 41 U.S.C. 3304(a)(6).

FAR 6.302-7: Public interest, 41 U.S.C. 3304(a)(7).

FAR 13.501: (a) Sole source (including brand name) (1) acquisitions conducted under the simplified acquisition procedures are exempt from the requirements in part 6, (ii) but the CO must prepare sole source (including brand name) justifications using the format at 6.303-2 modified to reflect that the procedures in FAR subpart 13.5 were used.

5. Reasons for Authority Cited:

a. These supplies are an add-on to pre-existing shelving at SDC and new shelving for DLS which meets the government’s minimum requirement of managing inventory boxes of varying dimensions that are loaded on these shelves. This addition supports the increase of Positive Airway Pressure (PAP) inventory and will reduce time required to fill orders. Gravity Flow shelving enhances productivity and ensures FIFO (first-in, first-out) product rotation. Designed for efficiency, various materials are loaded on slanted shelves with rollers and smoothly gravitate down to the picking side. SSI brand name supplies will provide VA with continuity across both warehouse operations in addition to a seamless transition of distribution operations in contingency situations where either warehouse must take on the other’s mission and systems must be interchangeable. SSI’s shelving is required for VA’s upcoming warehouse modernize effort to support the government’s need of uniformity with the current system in place. Specifications included are 1" x 1.1" diameter rollers with steel wheel axles spaced on 1.1" centers, 12 rollers and 6 dividers per level. Frames are required to be bolted together, front, and rear, while the middle supports drop in without nuts or bolts. (See images in section 6. Market Research).

6. Market Research:

a. Extensive internet search was conducted for specifications of multiple shelving vendors for like-quality, adjustability, and compatibility with existing shelving. All other shelving units’ dimensions were wider, narrower, shorter, or taller than required, which does not offer the flexibility of box dimensions that can be

-3-positioned next to each other. This does not allow for Supply Chain adaptability when products are added to/removed from inventory.

b. Gravity Flow shelving offers solutions to save time, maximize available manufacturing, production, and warehouse space, minimize wasted movements, simplify workflow, and lower cycle times. Some industry shelving products occupy too much floor space with larger-than-needed angle flow racks which create unnecessary hazards and slows down the natural flow of work. A poorly designed material flow rack can lead operators and manufacturing technicians to spending more time retrieving time-critical parts and consumables. VA’s mission supports providing time-critical supplies to veterans and the potential disruption of processing and delivery could result in severe harm to the quality of life of veterans worldwide who rely on these medical products.

Competitor shelving and rollers:

SSI Schaefer adjustable rollers and partitions: